BOCA RATON, Fla., Dec. 27, 2023 (GLOBE NEWSWIRE) — First Wave BioPharma, Inc. (“First Wave BioPharma†or the “Companyâ€) (NASDAQ: FWBI), a clinical-stage biopharmaceutical company specializing in the development of targeted, non-systemic therapies for gastrointestinal (GI) diseases, today announced it has entered into agreements with certain holders of its existing warrants exercisable for 881,337 shares of its common stock, in the aggregate, to exercise their warrants at a reduced exercise price of $5.50 per share, in exchange for new warrants as described below. The aggregate gross proceeds from the exercise of the existing warrants is expected to total approximately $4.8 million, before deducting financial advisory fees. The reduction in the exercise price of the existing warrants and the issuance of the new warrants was structured as an at-market transaction under Nasdaq rules.
Roth Capital Partners is acting as the Companyâ€
The shares of common stock issuable upon exercise of the existing warrants are registered for resale pursuant to a resale registration statements on Form S-3 (File No. 333-2744634) which was declared by the Securities and Exchange Commission (SEC) on September 29, 2023, a resale registration statement on Form S-3 ((File No. 333-274634) which was declared effective by the SEC on September 29, 2023, and a resale registration statement on Form S-1 (File No. 333-272404) which ws declared effective by the SEC on July 17, 2023.
In consideration for the immediate exercise of the existing warrants for cash and the payment of $0.125 per share underlying the new warrants, the exercising holders will receive new warrants to purchase shares of common stock in a private placement pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended (the “1933 Actâ€). The new warrants will be exercisable into an aggregate of up to 1,762,674 shares of common stock, at an exercise price of $5.00 per share and have a term of exercise equal to five years. The securities offered in the private placement have not been registered under the Securities Act of 1933, as amended, or applicable under state securities laws. Accordingly, the securities may not be offered or sold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirements of the Securities Act and such applicable state securities laws. As part of the transaction, the Company has agreed to file a resale registration statement on Form S-3 with the Securities and Exchange Commission within 10 days of the closing to register the resale of the shares of common stock underlying the new warrants issued in the private placement.
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.
About First Wave BioPharma, Inc.
First Wave BioPharma is a clinical-stage biopharmaceutical company specializing in the development of targeted, non-systemic therapies for gastrointestinal (GI) diseases. The Company is currently advancing a therapeutic development pipeline with multiple late-stage clinical stage programs, including Capeserod, a selective 5-HT4 receptor partial agonist which First Wave is developing for gastrointestinal (GI) indications; the biologic Adrulipase, a recombinant lipase enzyme designed to enable the digestion of fats and other nutrients in cystic fibrosis and chronic pancreatitis patients with exocrine pancreatic insufficiency; and it is anticipated that the Company will soon acquire Latiglutenase, a targeted, oral first-in-class biotherapeutic for celiac disease. First Wave BioPharma is headquartered in Boca Raton, Florida. For more information visit www.firstwavebio.com.
Forward-Looking Statement
This press release may contain certain statements relating to future results which are forward-looking statements. It is possible that the Companyâ€
For more information:
First Wave BioPharma, Inc.
777 Yamato Road, Suite 502
Boca Raton, FL 33431
Phone: (561) 589-7020
info@firstwavebio.com
Media contact:
Tiberend Strategic Advisors, Inc.
David Schemelia
(609) 468-9325
dschemelia@tiberend.com
Disclaimer
This article is for the purposes of solicitation subscriptions for this website. This website expects to generate new advertisement revenue resulting from the distribution of this article. The amount of which is unknown at this time. This website or it’s authors do not own any shares of First Wave BioPharma Inc. (FWBI) and does not buy, sell, or trade any shares of (FWBI). This article does not provide a professional analysis of a (FWBI) financial position. (FWBI) financial position and all other information regarding the featured Company should be verified directly with (FWBI). Please read our full disclaimer for more detailed information.